November 8th 2005

Company Announcement Office Australian Stock Exchange Ltd (ASX) 4^th Floor, 20 Bridge Street Sydney NSW 2000

Dear Sir/Madam,

Please find herewith a copy of "2005 AGM Chairman's Address & CEO Presentation" for release and distribution to the market immediately.

On Behalf Of ANADIS LIMITED

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CONOR GRAHAM Managing Director & CEO

Anadis Limited Annual General Meeting 2005 Chairman's address

Fellow shareholders, ladies and gentlemen,

It is my pleasure to report on another interesting year at Anadis.

Firstly, our manufacturing operations improved yet again. Our revenue increased from \$3.677 million in 2003/04 to \$4.867 million in 2004/05. This is an increase of a little over 30%, which is very satisfactory. As I have pointed out in earlier years, the major customer is Aussie Bodies, and that entity provided 83% of our revenue. Our five year contract with Aussie Bodies comes to an end in April next year, and we are focusing on a renewal of that contract.

As I have pointed out before, the revenue flow makes a significant contribution to our research costs.

Research.

The year has been another successful one in our research activities. I shall just mention some of the major achievements.

The Enterovirus 71 ("EV 71") project continues on its very positive path. We have a vaccine that the scientists describe as "brilliant". The efficacy work should finish in early 2006, followed by registration. The product is scaleable, and we have successfully proven we can convert it to commercial production. We expect cattle vaccine output to commence in the first half of 2006.

We shall then establish a distribution connection in Taiwan to market the product.

The bio-defence area also has been very positive, and we now are developing a product that will neutralize the toxins of Anthrax. We anticipate a paper on this will soon be published in the highly respected United Kingdom's "Journal of Applied Toxicology".

Bioshield 10 is about to be trialed in mice by the Centre of Vaccine Development in Baltimore, USA as an oral vaccine carrier.

Finally, the joint project with Tatura Milk Industries on antioxidant milk progresses well. This project is to develop an infant formula, naturally made, which will replicate "mother's milk" and enhance immune protection for children. We expect this to be an attractive product throughout Asia.

Travelan

At this meeting last year, I mentioned that our first product, Travelan, was about to be launched into the market. The intention was a Victorian based start, expanding into Australia in early 2005, and this has now occurred.

Launching a new product into the retail market is a major challenge for any company, particularly for a company with the limited financial resources like Anadis.

Firstly, we are promoting a "preventative". This means we have to persuade healthy people to take the product. They must take it before they contract diarrhoea.

Secondly, the product initially had very little profile beyond Anadis shareholders. Although, the experience of people who have traveled and used the product has been almost universally positive.

So what have we done?

We recruited David Lyon, a man with experience in selling products through the pharmacy chains. We embarked upon a series of radio advertisements during the year, we have billboards as you approach the airport in Sydney, and we have posters attached to most toilet doors in Melbourne airport. We have distribution agreements with the three major pharmaceutical chains. We have an agreement with the Australian subsidiary of the Quintiles group, a group well known for successful distribution. We have a page in the booklet handed out with new passports. Notwithstanding these efforts, the product does not yield sales when the product is unknown.

Consequently, your board has taken the view that we must establish the product profile. We have embarked upon a six week television advertising campaign, through November and the first half of December, a period selected to coincide with that time when people make summer travel arrangements. This campaign is at some cost, but we are hopeful the sales improvement will offset the expenditure.

We are also exploring overseas distribution in Canada, USA, and Asia. These overseas arrangements vary, but generally require the overseas distributor to cover the marketing requirements in each country.

We are also considering Australian distribution through health food chains, and travel agencies.

So, distributing Travelan has been a new experience for a company geared to research activities. But we remain optimistic.

Share price

Firstly, our own analysis is that the company has progressed well during the year; with excellent development in the research area and strong manufacturing growth.

This time last year our share price was in the mid 40 cent range, and we were regarded as one of the five best biotech performers. Unfortunately this year it is in the mid 30 cent range. We believe this fall can be attributed to a number of factors.

There has been a general fall from favour of biotech companies. The Intersuisse biotech index indicated that, whilst the market generally rose by approximately 20% in the year to 30 June 2005, the biotechnology index fell by 19% in the same period. There are signs that the sector is starting to emerge from that position, but it still underperforms the market.

More importantly for Anadis, as a company involved in commercialization for our products, we are working towards overseas registration, distribution and marketing agreements. These take time and require a certain level of confidentiality. As a result information flow from Anadis to the market has been somewhat light. With a number of key arrangements expected to be finalized over the coming months, renewed information flow to the market will follow.

We expect that shareholders and the market will be pleased with the progress that has been made by Anadis.

Cash position.

At 30 June 2005, our cash position was quite good. We had \$3.4 million invested in debentures with the ANZ Bank, plus another \$100,000 cash on hand. This would normally be sufficient to see us through a couple of years operations, based upon a loss of approximately \$1 to \$1.5 million per annum. However, we have embarked upon an expensive Travelan marketing campaign, which will make some inroads into those balances, but success in Travelan sales, here or overseas, could offset any cash deterioration.

New Director.

In July this year we expanded our board through the appointment of Arie Nudel. Arie was recommended by our major shareholder. I believe I can safely say that Arie has been an excellent addition to the board. He brings an intelligent approach and his background includes funds management experience. He has provided a perspective on matters that the board was previously lacking. In particular, he has also helped in focusing upon what might appeal to young people when traveling, and those matters that might help the sales of Travelan.

I commend Arie's reappointment to the board in later business.

Finally, I would like to thank our chief executive officer and managing director, Conor Graham, for his continuing commitment to the company. He has an equally excellent team supporting him, and they have been on hand now for some time. They all know the company and its products. Also, to the board for its advice and guidance, which is always first class.

Philip Molyneux Chairman 8 November 2005

Anadis Limited

Annual General Meeting November 2005

Mr. Philip Molyneux

Chairman

Revenue

Year on year growth 30%
Additional clients
· AussieBodies contract

Research

Enterovirus 71 (EV 71)

Efficacy tests currently being planned
· Registration sought
· Commercial production

Bio-defence

• Anthrax neutraliser

Research

Bioshield 10

• Mice trials about to start

TMI/Anadis infant formula joint venture

• Good results to date

Travelan

A preventative
· New marketing person
· Distribution agreements
· Television promotion
Overseas markets

Cash Position

At 30 June 2005

\$3.5 million in debentures

Mr. Conor Graham

Managing Director & CEO

Travelan

· Innovex appointed as sales team March 05
National launch commenced in April 05
. Over last six months have steadily increased no. of pharmacy outlets to over half of 4,900 nationally
· Initial launch supported by radio, print media and signage

Melbourne Airport

Sydney Airport

Brisbane Airport

Travelan

Media campaign to now include television
Two month national campaign to commence immediately on Channel 9 for six weeks duration
Commercial will go to air 576 times plus an additional number of free spots
Commercial to be shown during Getaway, 60 Minutes, National Nine News, Today 610

Travelan T.V. Commercial

Travelan

. Internationally the U.S.A. is primary target for launching Travelan next year - huge market and excellent distribution channels
We estimate Aust. potential for Travelan is 125k packs p.a. - U.S.A. 2.5m packs p.a.
. Also negotiating distribution in Canada, Singapore, India, Korea & UAE at present
UK/EU registration underway slow process

Respiratory Project

Pre-clinical work in conjunction with Defence Science and Technical Organisation (DSTO)
Funded under Government grant.
Grant of over \$780,000.
. Aim to develop neutralizing proteins against selected Bioterrorism agents. - Plague and Anthrax.

Respiratory Project

Anthrax antibody activity very strong
. Now working on establishing effective dosage for protection - animal models commencing this month
Civilian applications include Asthma and Hay Fever.
All project intellectual property owned by Anadis
Project now expanded to include diagnostic kit development
Project has a further 12 months to completion

H. Pylori Project

Oral vaccine for humans several new targets (outer membrane molecules) have been identified
Targets in process of testing for efficacy over next twelve months. If successful potential for drug candidate (both active & passive immunity)
Provisional patent in final development
· Potential "Blockbuster" drug

H.Pylori Project

OTC (Pyloran) Final formulation and commercialisation strategy under development
· Food Applications currently being developed in conjunction with Tatura Milk Industries

Bio-Shield 10

Bio-shielding "Protecting Delicate molecules"
· Protection of:
Enzymes and Proteins
Bacteria (Probiotics) & other health promoting food additives.
Vaccines & prescription drugs for oral delivery.

Bio-Shield 10

· Significant interest shown by major food group confidential discussions underway
The application of this technology opens the door for "Functional Food" opportunities from breakfast cereal to hamburger buns
Bioshield 10 will be utilised in our new EV-71 product
. Final patent to be lodged this month

Enterovirus 71 (EV-71)

Scientific results highly successful
Cattle vaccine fully developed
Vaccine is very effective and now proven to work in cattle
· Registration of vaccine with Aust. regulatory authorities underway (approval expected in Feb/March 06)
Production scale-up of vaccine underway

Enterovirus 71 (EV-71)

. Currently aiming to manufacture commercial quantities of vaccine at RMIT fermentation facility
First vaccines scheduled for production in March 06
· If scale-up successful anticipate producing first commercial EV-71 antibodies from cows Spring 06

Enterovirus 71 (EV-71)

. Final product packaging currently being decided
. Route to market underway with Anadis and Taiwanese Dev. Centre for Biotechnology exploring commercial, distribution & tertiary manufacturing options
· Longer term will explore markets outside of Taiwan where EV-71 is now appearing

In Conclusion

Anadis is undergoing dynamic changes as we expand the company's activities to embrace a global product development, commercial and marketing presence

AI assistant

Immuron Ltd Regulatory Filings 2005